Direct Line: Home insurance Renewals

tickettoride

dacouch wrote: »

If you understood the history of Insurance you would understand why Direct Line chose not to appear on comparison websites.

The only way to buy any type of Insurance was to buy via your local High Street Insurance Broker.

Direct Line (Although not the first) decided to cut out the broker and allow the customer to contact them and do business directly through them. This was accompanied by a huge marketing campaign and a number of innovations such courtesy cars when you had an accident.

YouAs their whole ethos has always been to cut out the middleman it does not make sense for them to start appearing on comparison sites who are in effect a middle man. If you add in that their product and service is above average, if they appear on a comparison site the only way they can obtain business in a market where customers only look at the top three cheapest companies would be to cut their cover and service back

I do understand insurance having been a broker at Lloyds of London with an ACII. Are you on Direct Line's payroll as you state their service and product is above average ? The proof ? Direct Line's renewal premium was over 9 times the average of the lowest 10 quotes on the comparison web site. I would also like to point out that many insurers nowadays mostly operate with direct debit on renewal and offer renewal terms sometimes only days before policy end date. This assists them in securing the renewal as many policyholders are too busy to shop around. This is a practice Direct Line carried out on this renewal. I admit they may not have wanted to renew this risk, then why offer renewal terms with a 46% increase in premium after 1 year of no claims. Maybe they want people complaining on forums ??

dacouch

tickettoride wrote: »

I do understand insurance having been a broker at Lloyds of London with an ACII. Are you on Direct Line's payroll as you state their service and product is above average ? The proof ? Direct Line's renewal premium was over 9 times the average of the lowest 10 quotes on the comparison web site. I would also like to point out that many insurers nowadays mostly operate with direct debit on renewal and offer renewal terms sometimes only days before policy end date. This assists them in securing the renewal as many policyholders are too busy to shop around. This is a practice Direct Line carried out on this renewal. I admit they may not have wanted to renew this risk, then why offer renewal terms with a 46% increase in premium after 1 year of no claims. Maybe they want people complaining on forums ??

No I don't work for Direct Line and have never worked for them.

I purposely chose "Above Average" rather than saying they were exceptional as their service and levels of cover are above average.

Being ten times the average premium of the Insurers you've found on a comparison site makes no difference to my statement about their level of service and cover being above average. I did not state they offered competitive premiums.

As you were in the industry you will be familiar that Insurers can sometimes price themselves out of a risk which it appears they have done in your sister's case. Being Sussex I assume DL have her down as being in what they perceive to be a flood risk area.

DL would have offered renewal at the inflated terms as unlike commercial insurance, personal lines Insurers feel a moral obligation to offer renewal.